This series is a supplement to our free webinar “Adding Value Through Voluntary” on Tuesday, August 4. You can register by clicking here.
The term voluntary benefits can sometimes be confusing to an employee. Instead of using the term voluntary, AUI encourages their employer clients to use the term supplemental benefits.
As health care costs continue to rise, so has the demand for supplemental benefits. Since many employers find it increasingly difficult to provide a complete benefit package, supplemental benefits have become an ideal solution. Employees benefit because they have a variety of insurance options available conveniently in one place, and often with lower premiums than individual policies they would have bought themselves.
Employers should consider expanding their benefit offerings to include supplemental benefits for a number of reasons. Employment trends show employees have a strong emotional appeal towards these benefits and have come to expect them. Generally there are no fees for employers except the time it takes to update deductions in a payroll system and pay the bills with the credited deductions each month, implementation is easy and most benefits do not have the legal and regulatory issues associated with health benefits. Supplemental benefits generally complement the goals of most corporate work/life programs. And most supplemental programs require little post-implementation administration or support.
So what are some more specific advantages to offering supplemental benefits? For an employer there are four major advantages:
- 1. Increased expense control in the face of rising benefit costs
- 2. Cost-effective way to supplement benefit cuts or reductions
- 3. Attracts and retains valuable employees
- 4. Differentiates from competitors in both benefit offerings and image
For employees there are also some specific advantages to supplemental benefits. They are:
- 1. Access to a broader array of benefits
- 2. Freedom to choose benefits that best suit their needs
- 3. Affordable premiums
- 4. Portable coverage (they can take it with them)
- 5. Convenience of a payroll deduction
- 6. More convenient and time-saving than buying on their own
- 7. More lenient underwriting requirements
So how do you know if supplemental benefits would be a fit for your organization? AUI can assist you with choosing and coordinating your supplemental benefits to give you and your employees the best value possible. Contact us today to talk about your options.